Strategists recommend buying on rumors of tax reform, because ‘people are going to sell on the news’

Stocks closed at record highs last week as Congress released the final version of its tax plan. But some strategists are floating a classic market adage to describe the market’s response to the pending legislation: “Buy the rumor, sell the news.”

XLF is acting very well on the chart. I think from here, you could see a move back up toward about $38,” he said, implying nearly 37 percent upside.

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